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Home›Business & Finance›NKT embarks on construction of new addition for big high-voltage offshore power cable factory
Business & Finance

July 31, 2024 · about 2 years ago

NKT embarks on construction of new addition for big high-voltage offshore power cable factory

NKT has begun works on a new cable extrusion tower for a power cable factory in Karlskrona, Sweden, which is expected to be the world’s largest high-voltage offshore power cable factory upon completion.

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Illustration of the factory in Karlskrona, Sweden, with the three extrusion towers; Source: NKT

Denmark-headquartered power cable manufacturer and installation player NKT has begun works on a new cable extrusion tower for a power cable factory in Karlskrona, Sweden, which is expected to be the world’s largest high-voltage offshore power cable factory upon completion.

After disclosing plans last year to boost its high-voltage power cable business with a €1 billion investment up to 2026 in a new factory in Sweden and a power cable vessel, NKT started the slipforming casting of concrete for a third extrusion tower at the Swedish factory in Karlskrona. The firm underlines this expansion is driven by a record-high order backlog and increased demand for power cables to support the transition to renewable energy.

As a result, the Danish player underlines that a constant flow of trucks is now delivering concrete to the construction site, with a truck per hour anticipated to supply concrete to the tower over the coming months to ensure its rapid ascent to 200 meters. Upon completion, this is expected to become the second tallest tower in Sweden.

Darren Fennell , NKT’s Executive Vice President and Head of HV Solutions Karlskrona, commented: “The beginning of the slipforming is a major milestone in the expansion of the factory in Karlskrona. The tower will significantly strengthen our ability to meet the growing demand for larger and longer high-voltage offshore cables essential for the green transition.

“The ongoing investments is central to the execution of our large order backlog and prepares us for the positive development, we expect in the high-voltage power cable market. With the capacity expansion, we continue to be a leading power cable provider for the global energy infrastructure.”

According to the power cable player, the extrusion tower is perceived to be crucial in adding insulation to the high-voltage power cables produced at the Swedish facility. While the tower is set to continue its upward momentum of approximately 2.6 meters a day until it reaches 200 meters above ground, the slipform casting will be finalized during Q4 2024.

The new tower is part of a larger investment program in NKT’s high-voltage power cable business, which entails a second cable-laying vessel set to be operational from 2027 alongside the factory expansion. As this business growth is expected to spur a headcount rise of over 500 by 2027, NKT claims to be on track with the hiring process in Karlskrona.

The Danish firm has won several new assignments, including a framework agreement with SSEN Transmission to deliver power cable systems for two high-voltage direct current (HVDC) transmission links in Scotland.

NKT also recently revamped its cable-laying vessel (CLV) NKT Victoria in response to growing market demand and customer requirements.

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